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Why Employment Matters

This article originally appeared in the Winter 2020 Issue of Thinking Minnesota, now the second largest magazine in Minnesota. To receive a free trial issue send your name and address to info@americanexperiment.org. Minnesota has above average levels of GDP per capita thanks to above average levels of employment. The greater the share of the population working to produce GDP, the more GDP there is to divide among the population. But these high employment levels mask below average labor productivity. This could have an outsized impact on Minnesota's economy. The Center's new report, "Minnesota's Workforce to 2050," analyzes looming weaknesses in the state's workforce, including an aging...

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Regulatory burden on Nonprofits is not the main issue with evaluating equity grants

Nonprofits working with DEED on equity programs have expressed dissatisfaction with DEED`s regulatory burden. Organizations like EMERGE have faced issues with government overreach, punitive oversight and inconsistent expectations of what their grants are supposed to achieve. In 2017 legislature approved funding for Equity programs, aimed to provide workforce programs for people of color, most of which was awarded directly by legislature. The rest was distributed by DEED through a series of competitive grants. Grantees have faced the majority of regulatory burden with accountability measures. Even though accountability measures present a hurdle, especially to small nonprofits, big organizations face no issues issue with...

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What needs to be understood about price control schemes, including minimum wage laws – They never work

It should not come as a surprise that a local St. Paul institution is citing the $15 minimum wage law as one of its reasons for going out of business. High operating costs are inevitable for businesses operating in areas with a high minimum wage. With that comes cutting hours, laying off people or going out of business. That reality has always been the same throughout history; controlling prices, wages included, leads to negative consequences. As early as 4000 years ago, the Babylonians had the code of Hammurabi, which had stipulations of wage control and other price control measures. Among other laws,...

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